THE IMPACT OF FOREIGN DIRECT INVESTMENT ON EMPLOYMENT IN TOURISM IN BOSNIA AND HERZEGOVINA

Keywords: foreign direct investment, tourism, Bosnia and Herzegovina

Abstract

The global tourism market is accompanied by the constant changes in the market share of individual countries, the preferences of tourists and ways to satisfy their needs. In 2017, Europe, for example, dominated the tourism market with 51% of market share. However, the increase in Asia-Pacific participation compared to 2016 is as high as 24%, which indicates that the share of transnational companies in the region is increasing, not only in revenues, but also in tourism investments. Part of the investment is also directed to Bosnia and Herzegovina, which emphasizes inflows from Arab countries. Regardless of the type, investments in tourism are of particular importance to developing countries, because in addition to economic effects, they contribute to technology transfer, management experience and they also strengthen the cooperation between the state and the investor. The subject of this paper is foreign direct investment (FDI) in tourism in Bosnia and Herzegovina. The aim of this paper is to examine the impact of foreign direct investment on employment in the tourism sector. Using the correlation regression analysis, the impact of foreign direct investments on the number of jobs in the accommodation and food and beverage industries was examined. The paper shows that there is a weak positive impact of FDI on the increase in the number of employees in the accommodation and food and beverage industries.

Downloads

Download data is not yet available.

References

Alam, M. S., & Paramati, S. R. (2016). The impact of tourism on income inequality in developing economies: Does Kuznets curve hypothesis exist? Annals of Tourism Research, 61, 111-126. Available on: https://doi.org/10.1016/j.annals.2016.09.008

Бошковић, Т. (2008). Стране директне инвестиције у туризму као фактор развоја. Школа бизниса, (3), 23-27. http://www.vps.ns.ac.rs/SB/2008/3.4.pdf

Blomstrom, M., Lipsey, R., Zejan, M. (1992). What Explains Developing Country Growth. NBER Working Paper No. 4132, 1-36. Available on: https://doi.org/10.3386/w4132

Broz, T., Buturac, G., & Tkalec, M. (2015). To what extent does Croatia really cooperate with SEE countries in the fields of foreign trade, direct investment and tourism? Economic research- Ekonomska istraživanja, 28 (1), 879-906. Available on: https://doi.org/10.1080/1331677x.2015.1092703

Gligorijević, Ž.,& Ubavić, P. (2016). Privatisation and Investment Activity in the Tourism of the Republic of Serbia. Economic Themes, 54(1), 45-60. Available on: https://doi.org/10.1515/ethemes-2016-0003

Graham, E. M., & Krugman, P. (1995). Foreign direct investment in the United States. Washington, DC, 123-125. Available on: https://doi.org/10.2307/1060511

Greaver, M. F., & Greaver II, M. F. (1999). Strategic outsourcing: a structured approach to outsourcing decisions and initiatives. Amacom Books, 25-28.

Law on Concessions RS, Official Gazette RS, no.59/13, article 6.

Law on tourism RS, Official Gazette RS, no. 45/17, article 12.

Keynes, J.M. (1973). The General Theory:“Fundamental Concepts and Ideas”, Monetary Theory, Penguin Books. Available on: https://doi.org/10.2307/j.ctv5rdwmm.13

Krugman, P. (1991). Geography and Trade, M.I.T.Cambridge: Press MA. Available on: https://doi.org/10.2307/1060549

Ловрић, М., Комић, Ј., Стевић, С. (2017). Статистичка анализа –методи и примјена. Бања Лука: Економски факултет, 214-222.

Marić, Z. (2016). The foreign direct investments entrance and its impact into countries in transition (Case of Bosnia and Herzegovina). Interdisciplinary Management Research, 427-437. Available on: https://core.ac.uk/download/pdf/6255891.pdf

Popović, G., & Savić, M. (2014). Impact of foreign direct investments on economic growth in the European Union. Economics-Innovation and economic research, 2(2). Available on: https://doi.org/10.7251/OIK1402004P

Поповић, Г., Савић, М., Спасојевић, Б. (2014). Стране директне инвестиције и економски раст Бугарске и Румуније. Економски видици, 19 (4), 409-421.

Popović, G., & Erić, O. (2018). Economic development of the Western Balkans and European Union investments. Economic research, 31(1), 1539-1556. Available on: https://doi.org/10.1080/1331677x.2018.1498009

Papadopoulos, N., Hamzaoui-Essoussi, L., & El Banna, A. (2016). Nation branding for foreign direct investment: an Integrative review and directions for research and strategy. Journal of Product & Brand Management, 25(7), 615-628. Available on: https://doi.org/10.1108/jpbm-09-2016-1320

Samimi, A. J., Sadeghi, S., & Sadeghi, S. (2017). The relationship between foreign direct investment and tourism development: evidence from developing countries. Institutions and Economies, 59-68. Available on: https://ijie.um.edu.my/issue/view/581

Стакић, Б. (2012). Међународне финансијске институције. Београд: Универзитет Сингидунум.

Станивук, Б. (2017). Утицај пореске политике на привредни раст Републике Српске. Бијељина, Научни скуп Еконбиз 2017, 382-388. Available on: http://www.noviekonomist.info/pdf/ekonomist18.pdf

Стојадиновић-Јовановић, С. (2013). “Стране директне инвестиције као облик финансирања глобалне економије”. Банкарство, 1, 34-57.

Sharma, Y., & Nasreen, R. (2015). Public private partnership in Delhi Tourism–a case study of Delhi Tourism and Transport Development Corporation (DTTDC). Emerald Emerging Markets Case Studies, 5(4), 1-19. Available on: https://doi.org/10.1108/eemcs-01-2014-0015

Sokhanvar, A. (2019). Does foreign direct investment accelerate tourism and economic growth within Europe? Tourism Management Perspectives, 29, 86-96. Available on: https://doi.org/10.1016/j.tmp.2018.10.005

Točkov, D. (2017). The Relation Between Foreign Direct Investments And Employment In The Republic Of Serbia. Ekonomske ideje i praksa, (26), 73-87.

Falk, M. (2016). A gravity model of foreign direct investment in the hospitality industry. Tourism Management, 55, 225 - 237. Available on: https://doi.org/10.1016/j.tourman.2016.02.012

Fereidouni, H. G., & Al-mulali, U. (2014).The interaction between tourism and FDI in real estate in OECD countries. Current Issues in Tourism, 17(2), 105-113. Available on: https://doi.org/10.1080/13683500.2012.733359

ФИПА. (2018). Анализа сектора туризма у БиХ- интерни извјештај. Сарајево. Халибашић, М. (2011). Стране директне инвестиције и конкурентност Босне и Херцеговине. Међународни форум Босна (52), 23-35.

Haley, U. C., & Haley, G. T. (1997).When the tourists flew in: strategic implications of foreig direct investment in Vietnam’s tourism industry.Management Decision, 35(8), 595-604. Available on: https://doi.org/10.1108/00251749710176091

Шушић, И.,Шушић М. (2017). Ефекти страних директних улагања на економски развој Босне и Херцеговине. Примус Глобал, 2 (2), 1-18. Available on: http://www.ef.uns.ac.rs/anali/arhiva/anali-br-37-2017.pdf

World tourism organization, UNWTO. (2015). Global report on Public –Private Partnership-tourism development. Madrid: Griffith University. Преузето 15.01.2019. са http://cf.cdn.unwto.org/sites/all/files/pdf/global_report_public_private_partnerships_v8.pdf

WTTC economic impact 2018. Преузето 10.02.2019. са: https://www.wttc.org/-/media/files/reports/economic-impact-research/countries-2018/bosniaherzegovina2018.pdf

http://statistics.cbbh.ba

http://www.imf.org

Published
2019-12-31
How to Cite
Mrkaić Ateljević, A., & Armenko, I. (2019). THE IMPACT OF FOREIGN DIRECT INVESTMENT ON EMPLOYMENT IN TOURISM IN BOSNIA AND HERZEGOVINA. Acta Economica, 17(31), 21-34. https://doi.org/10.7251/ACE1931021M
Section
Original Scientific Papers

Most read articles by the same author(s)

Obs.: This plugin requires at least one statistics/report plugin to be enabled. If your statistics plugins provide more than one metric then please also select a main metric on the admin's site settings page and/or on the journal manager's settings pages.